4 ms·
I'm not sure this is true? Scout funds always have generic names. So do the funds that founders actually run through things like AngelList. In my experience, n
by mrkurt 4y ago
I'm not sure this is true?
Scout funds always have generic names. So do the funds that founders actually run through things like AngelList. In my experience, no one actually cares what fund put a $10-50k check in to the seed round.
I buy that there's signaling risk from having Sequoia have a $500k check in the seed round, then not do the A. But everyone knows that means a partner at Sequoia chose to invest. Even if someone notices a scout fund name, they're not going to mistake that for a partner at Sequoia.
Scout funds are, however, a neat way to let non liquid founders do some investing. I don't think I've ever regretted taking "scout fund" money.